quote:

I didn't say that. But as GroupW has pointed out, this isn't the big deal that it was initially made out to be. AIG is a large company with a lot of different, financially sound subsidiaries. Their trouble stemmed from one relatively small financial services office in London essentially writing insurance policies for other securities (that's a simplification, but that's the jist). Because AIG was such a large company, they didn't have to put up collateral on these policies and because the policies were so profitable, this subsidiary kept writing more and more of them. When it came time to pay out on the policies, that portion of the company didn't have the money, so the parent company was on the hook to pay off the debt. The rest of the company was more-or-less as stable as ever.

It was their bad decision making that got them into this mess. Anytime an insurer makes promises that they can not keep, it is fraud.

They didn't need a bailout because they were honestly working for the people they serve. They choose to look at the numbers on paper, not real assets. The numbers on paper were a figment of somebody's imagination.

Someone there KNEW they didn't have the assets. They CAN"T NOT KNOW.

Continuing to justify bad behavior in this country without discipline is why we are where we are.

I'm beginning to think that the ones who justify the bad behavior and continue to do so, have benefited from the bailout. It's the only reason a person could be supportive of it. Because it sure isn't for or about the people!

-Dan.

quote:

ORIGINAL: deliveredarling
It was their bad decision making that got them into this mess. Anytime an insurer makes promises that they can not keep, it is fraud.

quote:


I'm beginning to think that the ones who justify the bad behavior and continue to do so, have benefited from the bailout. It's the only reason a person could be supportive of it. Because it sure isn't for or about the people!